As we march along with the nation’s rather massive build-out of renewable energy resources, questions emerge for how to fill the gaps when the sun sets and the wind stops blowing – i.e., when it’s nice to be outdoors, especially in the summer. So there you have it – turn off the lights, grab a drink and go out on the deck to hang out with your friends and family. Now there is a behavior program to get behind! Patent underway. Unfortunately, the discussion is focused on energy storage rather than “quality time”, a term that predates “work-life balance”. Once…
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As readers of this blog are sure to know, electricity consumption growth has leveled out and essentially disappeared in recent years. This is celebrated, but I say, beware of what you wish for – kind of like winning the lottery. It may seem wonderful until reality and the unintended consequences set in. But I want to do a deeper dive into why energy consumption in buildings, in particular electricity, is on the fall. As ACEEE reported back in February of this year, Why is Electricity Use No Longer Growing, efficiency is a significant contributing factor. I agree. But I also…
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If energy efficiency programs are considered and measured to be a good thing in some states, why are they not good for all, or nearly all, states? Even the utilities we work with in Minnesota and Iowa with programs since the mid 1980s believe in energy efficiency for their customers and their employing utilities. I get the same vibe from California utilities, for another example. However, like national elections, all eyes are presently on Ohio – a battleground state for energy efficiency. But this rant is about what happened in Indiana and how to combat it in Ohio. In case…
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There is weekly, if not daily, chatter about the end of the monopolistic electric utility systems we have today. They call it the utility death spiral, and it goes like this: Distributed generation, also known as DG, which includes rooftop solar photovoltaic (PV) systems will compete directly with utility power. Utilities are stuck with fixed rate base for which they need to be paid through purchased energy from customers. Photovoltaic may produce competitively-priced energy for some customers after the bevy of incentives and tax breaks. Home-generated electricity drives down the utility’s revenue. Utility raises prices to cover their fixed cost.…
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Perhaps I am naïve, but to be more effective it seems interveners would do well to understand motives of profit-driven enterprises and their customers. Consider, for example, this recent article in Midwest Energy News lamenting CenterPoint Energy’s withdrawal from decoupling. You may recall a post I made eons ago where I described the perverse impact of decoupling on prices for consumers. Allow me to recap. Utilities have fixed cost of hardware and labor to deliver energy to customers – poles, wires, pipes, transformers, compressors, trucks, etc. This stuff makes up the rate base and fixed cost of energy delivery. They…
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Jeff Erickson of Navigant Consulting presented an interesting paper at last week’s American Council for an Energy Efficient Economy (ACEEE) Summer Study for Buildings. The title was, “Occupy Wall Street and the Tea Party Battle over Energy Efficiency.” I thought it was just clever (aka bait and switch) advertising, but the presentation featured, almost exclusively, how the free market, small government tea party and the profit-bad, regulation-good occupiers might view energy efficiency. The tea party would favor consumer choice for incandescent light bulbs and gas guzzlers over government regulation of these common, and other uncommon for that matter, consumer goods. …
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It has been a while since I’ve written anything about programs, so here it goes. Program evaluation provides about half our business, and much of that is verifying gross savings estimates, which are simply the original program-claimed savings. Verifying custom projects, those that don’t fall into mass categories like light bulbs and air conditioners, are generally more interesting, at least from an energy analysis perspective. Findings from the field can be follical (new word derived from folly) for any type of measure. Implementers of custom efficiency programs, especially implementers not accustomed to the evaluation process, can be especially entertaining. In…
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The New Scientist published an article by an economist saying that now is the perfect time to implement “long-overdue environmental regulations requiring US power plants to reduce emissions of mercury, arsenic and other toxic metals”. And the added cost will be a boon to the economy. That’s what the textbooks say, so it must be right! As the article states in one place, yes, retrofitting power plants will create jobs somewhere, and the higher cost will be passed on to consumers. Do they equally offset on a macroeconomic level? I severely doubt it but no one can prove that. In…
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One of the most rewarding aspects of our business is ensuring people get it right and customers get the legitimate energy and monetary savings they should be receiving. My answer to “why should we pick you?” is: we are passionate about what we do; we get things right; and we want to make a difference – improve things. The problem occurs when others don’t give a rip about these things. Michaels’ primary thrust in the evaluation arena is impact evaluation, which is – what difference does the program make? The questions are (1) what is happening versus what would have…
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The masses want power on demand without interruption or failure. They want it at a practically negligible cost and more so every year, they want it without emissions or other unpleasant byproducts. In the upper Midwest, energy without emissions means wind energy. Wind energy sounds great. It’s “free”. No emissions. But it comes with a load of drawbacks compared to conventional sources of coal, nuclear, and natural gas. First, utilities can’t count on it for peak load generation. I searched a while for this and found nothing but the bottom line is there is no guarantee there will be any…
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